ConocoPhillips (COP) vs Diamondback Energy, Inc. (FANG)

ConocoPhillips and Diamondback Energy, Inc. are both Oil & Gas E&P companies. ConocoPhillips is the larger, with a market value of $154.0B against $52.3B — 2.9× the size. ConocoPhillips trades at the lower P/E: 16.8× against 36.4×. Diamondback Energy, Inc. grew revenue faster over the last twelve months: 21.5% against 8.48%. ConocoPhillips has the higher net margin (14.2% vs 8.58%) and the higher return on invested capital (12.2% vs 1.20%). Both pay a dividend; Diamondback Energy, Inc. yields more (5.25% vs 2.63%). Across the 22 metrics below, ConocoPhillips leads on 13 and Diamondback Energy, Inc. on 9.

Valuation

Metric COP FANG Oil & Gas E&P median
P/E 16.84 36.39 10.57
P/S 2.37 3.07 1.80
P/B 2.36 1.19 1.27
Price to free cash flow 12.70 5.99 9.99
EV/EBITDA 6.08 10.22 5.08
EV/Sales 2.61 3.78 2.39
Earnings yield 5.94% 2.75% 6.06%
Free cash flow yield 7.87% 16.70% 6.17%

Profitability

Metric COP FANG Oil & Gas E&P median
Gross margin 62.56% 84.75% 80.41%
Operating margin 24.14% 6.33% 21.39%
Net margin 14.17% 8.58% 14.17%
Free cash flow margin 18.63% 51.26% 9.71%
Return on equity 14.13% 3.38% 10.05%
Return on assets 7.50% 2.06% 5.81%
Return on invested capital 12.17% 1.20% 6.32%

Growth

Metric COP FANG Oil & Gas E&P median
Revenue growth (TTM) 8.48% 21.45% 9.94%
EPS growth (last fiscal year) (18.69%) (63.10%) —
Revenue growth, 5-year CAGR 26.16% 39.81% 18.67%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric COP FANG Oil & Gas E&P median
Debt to equity 0.36 0.29 0.28
Current ratio 1.54 0.47 0.96
Net debt to EBITDA 0.64 2.28 0.91

Dividend

Metric COP FANG Oil & Gas E&P median
Dividend yield 2.63% 5.25% 4.93%
Payout ratio 0.37 0.47 0.07

Size

Metric COP FANG Oil & Gas E&P median
Market cap 153.96b 52.34b 923.59m

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